The State Tax Service (STS) has issued the list of 1000 greatest taxpayers of Armenia for the first quarter of 2007. This list has always been interesting, especially compared with the same period last year. At first sight there is no essential change in the list. The first three places are almost always occupied by the “Zangezur copper processing plant”, Armentel and ArmRusGazArd. However, those always change their first three places in the list.
For example, last year it was Zangezur, which occupied first place. This year it is ArmRusGazArd. All the other companies either occupied higher places or lagged behind. However, if we consider this list not as a state document but as a political one, we may notice a few interesting things. And the prediction that the parliamentary elections are going to affect the amount of taxes paid, this happens to be true. Some large taxpayers compared to the same period last year have considerably reduced their tax amounts. Those are mainly the businessmen who have a certain connection with the elections – either they are running or their son or relative. But in general most of the businessmen are members of different parties. It’s simple that those businessmen must provide certain finances to their parties for the elections. Those means are used to organize a campaign and distribute voter bribes. Especially this year they say that the amount of the bribe per voter varies from 10,000 to 20,000 AMD. We may even insist that those expenses are made at the expense of the state budget, that is, by stealing from the state.
Thus, the number one taxpayer, the Vardanyan family, has reduced the amount of taxes for almost all their businesses. Last year, the tobacco producing “Grand Tobacco” paid 1 billion 98 million AMD for the first quarter. This year the taxes were reduced to 887 million AMD. About 100 million AMD less was paid by another of the Vardanyan companies – the “International Masis Tabak”. The Armenian-Greek joint company – “Masis Tobacco” – has decreased the amount of taxes paid nearly four times. Let’s remember that Hrant Vardanyan’s son was nominated as a single-mandate candidate in #40 district in Noyemberyan. This means that the Vardanyans need much money for the coming elections.
The same picture is with the businesses of Michael Baghdasarov. His company, “Mika Armenian Trading”, paid 283 million AMD instead of the 655 of last year. Armavia, belonging to him, has reduced its taxes by half a million drams. We shouldn’t forget that the company is the only airline in Armenia and has an exclusive monopoly. And the statisticians are saying that the number of tourists visiting Armenia increases year by year. Besides, the prices of Armavia tickets for those visiting Armenia are quite expensive. However, even under these circumstances, the taxes paid by this company do not increase. This can mean two things – either the company hides taxes or the passengers don’t like the Armenian airline and buy tickets from other companies. This is another topic of conversation.
Cigarette importer “Pares Armenia”, which belongs to the Sukiasyan family, has paid 61 million AMD less taxes. As opposed to that, their Arm Econom Bank and the Narek Mall are increasing their tax amount – 100 million and 22 million respectively. This family’s “Bjni” company paid 44 million and “Zovk” – 13 million AMD. However, these companies were not included in the list of the 300 great taxpayers of the last year. That’s why it’s hard to make comparisons. The same situation exists with the companies of the Tsarukyans. This year the Multi concern paid 10.5 million AMD instead of the 71 million of the last year. As opposed to that, the Multi gas has increased the amount of paid taxes by 39 million drams. There is interesting progress within the companies belonging to Samvel Alexanyan. His “Salex Group”, “Natali Farm” and “Flit Food” companies paid 2.7 billion in taxes this year, instead of the 1.1 billion of last year.
There are remarkable changes among more low-scale businessmen. For example, “Jermuk Group” company, belonging to the Arsenyans, has also reduced its taxes. Last year it paid 94 million AMD, while this year the company paid 64 million. The “Yerevan Champagne and Wines” factory has also showed quite interesting data. The company paid 225 million last year, compared to this year’s 84 million. Let’s remember that this company belongs to Versand Hakobyan, owner of Armenian International Airlines, who has been nominated as a single-mandate candidate in Shengavit. Hakobyan needs a lot of money for the elections. Recently the media publicized information that he offered 50,000 AMD to Arshak Sadoyan so the latter would withdraw his candidature from the same district.
When the first list of large taxpayers was issued two years ago, the management of the Tax Service was sure that the list would embarrass the businessmen, who would then slowly leave this way of doing business behind. But as you see, this prediction was wrong. However, it’s interesting for us to know who pays how much taxes, and how much is hidden.